Garwyn backs Supreme Court's asbestos ruling

Loss adjuster Garwyn Group has welcomed the clarification on the law governing the interpretation of employers liability policies for mesothelioma claims.

Last week Insurance Times reported on the Supreme Court’s landmark ruling on asbestos exposure which could result in thousands of claims being brought by the relatives of workers who died after being exposed to asbestos.

In a statement released today, Garwyn said the judgement removed any uncertainty that had existed for the last six years and reinstated the historic approach adopted by insurers for claims of this nature.  

“The question before the court was essentially which insurance policy applied - the one in force when the exposure that led to the injury or disease occurred, or the one in force at the time the injury or disease manifest itself?,” read the statement.

“They concluded that the disease/injury has been ‘sustained’ or ‘contracted’ in the period of exposure even though it develops or manifests itself at a later point. The judgement distinguishes the case of Bolton MBC -v- Municipal Mutual Insurance on the grounds that case did not relate to employers liability. 

“This will be good news for some insurers, less positive news for others but for all parties it brings a degree of certainty to this contentious area. Following this judgement we now expect a period during which there is some continuity of practice and the current backlog of cases is cleared.

“There is however, still scope for discussion with regards to the latency period as advances in medical science allow a greater understanding of the development of the condition. That debate may be still to come.”